Deccan Cements Ltd (DECCANCE) AI Stock Analysis

• Market Cap: ₹10.58B
• Dividend Yield: 0.08%
• Average Volume (3M): 2.80K
• Price to Earnings (P/E): 31.9
• Beta (1Y): 1.06
• Revenue Growth: -28.32%
• EPS Growth: 93.44%
• Country: IN
• Employees: 396
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 6.47
• Shares Outstanding: 14,007,500
• 10 Day Avg. Volume: 5,033
• 30 Day Avg. Volume: 2,799
• PEG Ratio: -1.86
• Price to Book (P/B): 1.55
• Price to Sales (P/S): 2.12
• P/FCF Ratio: -3.54
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: ₹730.00 ▼(-0.52% Downside)

Deccan Cements Ltd faces significant financial and technical challenges. The company's financial performance is under pressure with declining revenue and profitability, increased financial leverage, and negative cash flows. Technical indicators are bearish, with the stock being oversold and trading below key moving averages. Additionally, the high P/E ratio suggests overvaluation, while the low dividend yield offers limited income potential. These factors collectively contribute to a lower overall stock score.

Positive Factors

Strong Equity Base

A strong equity base provides financial stability and resilience, enabling the company to sustain operations and invest in growth opportunities.

Innovative Manufacturing

Innovation in manufacturing and sustainability can enhance product quality and efficiency, providing a competitive edge in the cement industry.

Diverse Revenue Streams

Diverse revenue streams reduce dependency on a single market segment, enhancing revenue stability and growth potential.

Negative Factors

Declining Revenue

Declining revenue indicates challenges in market demand or competitive positioning, potentially affecting long-term growth and profitability.

Negative Cash Flow

Negative cash flow limits the company's ability to invest in growth and meet financial obligations, posing a risk to financial health.

Increased Financial Leverage

Higher financial leverage increases risk, as it may lead to higher interest expenses and reduced financial flexibility.

Deccan Cements Ltd Business Overview & Revenue Model

Company Description

Deccan Cements Limited manufactures and sells cement in India. The company offers ordinary Portland, Portland pozzolana, and Portland slag cement products; and other specialty cement products, such as rapid hardening, sulphate resistant, high alumina, and oil well cement, as well as 53-S grade ordinary Portland cement, a specialty cement for railway applications. It also generates and sells electricity through thermal, wind, and hydro-electric power units. The company was incorporated in 1979 and is headquartered in Hyderabad, India.

How the Company Makes Money

Deccan Cements Ltd generates revenue primarily through the sale of its cement products, which include Ordinary Portland Cement (OPC), Portland Pozzolana Cement (PPC), and other specialty cements. The company benefits from a robust distribution network that ensures its products reach a wide customer base across various regions. Key revenue streams include direct sales to construction companies, government contracts, and retail sales through dealers and distributors. Additionally, DECCANCE may engage in strategic partnerships with construction firms and participate in large-scale infrastructure projects, further enhancing its market presence and revenue potential. Factors contributing to its earnings include the overall growth of the construction sector, effective cost management, and the ability to adapt to changing market demands.

Deccan Cements Ltd Financial Statement Overview

Summary

Deccan Cements Ltd faces substantial challenges across its financial statements. Revenue and profitability have faced pressure, impacting income statement performance. The balance sheet reflects increased financial leverage, though equity remains strong. Cash flow difficulties, particularly negative free cash flows, may constrain future operations and growth opportunities. The company needs to address operational efficiencies, manage costs, and strategically reduce debt to improve financial health.

Income Statement

The company has exhibited fluctuating revenue over recent years, with a significant decline in revenue from 2024 to 2025. Gross profit margins have decreased, indicating pressure on cost management or pricing power. Net profit margin has also deteriorated sharply in 2025, reflecting profitability challenges. While EBITDA margin has been relatively stable, the decline in EBIT margin suggests increased operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio has increased, indicating a higher reliance on debt financing and potential risk in financial leverage. However, the equity ratio remains strong, suggesting a solid equity base. A declining return on equity reflects reduced profitability, impacting investors' returns.

Cash Flow

The cash flow position shows significant challenges, with negative free cash flow in recent years and a declining trend. The company struggles to generate sufficient operating cash flow to cover capital expenditures, potentially affecting future growth investments. The operating cash flow to net income ratio has turned unfavorable in 2025, highlighting inefficiencies in converting net income into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.05B	5.27B	7.99B	7.82B	7.90B	7.58B
Gross Profit	3.33B	2.61B	2.57B	4.33B	4.06B	4.72B
EBITDA	679.75M	515.70M	920.47M	1.07B	1.52B	1.85B
Net Income	200.61M	75.19M	372.63M	492.95M	875.74M	1.15B
Balance Sheet
Total Assets	0.00	16.25B	14.46B	11.55B	9.85B	8.61B
Cash, Cash Equivalents and Short-Term Investments	1.44B	1.44B	2.30B	2.12B	2.97B	2.59B
Total Debt	0.00	7.14B	5.20B	2.65B	1.66B	961.64M
Total Liabilities	-7.22B	9.03B	7.27B	4.68B	3.39B	2.97B
Stockholders Equity	7.22B	7.22B	7.19B	6.87B	6.46B	5.65B
Cash Flow
Free Cash Flow	0.00	-3.16B	-2.34B	-1.80B	370.50M	910.16M
Operating Cash Flow	0.00	-376.42M	566.99M	549.54M	792.73M	1.84B
Investing Cash Flow	0.00	-2.27B	-2.77B	-2.19B	-917.43M	-320.99M
Financing Cash Flow	0.00	1.78B	2.38B	796.52M	452.58M	-86.06M

Deccan Cements Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 733.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DECCANCE, the sentiment is Negative. The current price of 733.85 is below the 20-day moving average (MA) of 884.40, below the 50-day MA of 987.43, and below the 200-day MA of 897.06, indicating a bearish trend. The MACD of -73.55 indicates Positive momentum. The RSI at 22.90 is Positive, neither overbought nor oversold. The STOCH value of 8.32 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:DECCANCE.

Deccan Cements Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHREDIGCEM	64 Neutral	₹13.42B	35.75	―	1.66%	3.09%	-50.15%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
UDAICEMENT	60 Neutral	₹20.29B	134.74	―	―	26.55%	-77.02%
SAURASHCEM	53 Neutral	₹11.08B	79.65	―	2.29%	2.37%	55.27%
NCLIND	49 Neutral	₹9.11B	27.86	―	1.51%	-16.46%	-21.60%
DECCANCE	48 Neutral	₹10.58B	31.88	―	0.08%	-28.32%	93.44%
SANGHIIND	44 Neutral	₹16.94B	-4.17	―	―	32.54%	19.65%

Deccan Cements Ltd Corporate Events

Deccan Cements Announces Virtual AGM and E-Voting Procedures

Deccan Cements Limited has announced the details of its 45th Annual General Meeting (AGM) scheduled for September 23, 2025, which will be conducted through video conferencing and other audio-visual means. The AGM notice, along with the annual report for the financial year 2024-25, has been distributed electronically to shareholders. The company has outlined procedures for remote e-voting and participation in the AGM, reflecting compliance with relevant regulatory circulars. This move underscores Deccan Cements’ commitment to maintaining shareholder engagement and transparency while adapting to modern digital communication methods.